Whitepaper Request Network The future of …

1 WhitepaperRequest NetworkThe future of commerceA decentralized Network for payment requestsMarch 16, 2018 Contents1 Executive summary12 The platform13 The The Core layer .. The Extensions layer .. The Applications layer ..74 Use B2B invoicing .. Online payments .. Automation of jobs: Accounting, Audit, Expenses .. Business Logic and Trade Laws: Government and Tax .. Simplification of commercial tools: Factoring, Escrow .. Transparency of institutions .. IoT and smart contracts ..145 Incentive for a secure ecosystem of applications .. Governance .. Independence of other currencies .. Technical independence .. Make cross currency exchanges easier ..156 Roadmap draft157 Core team ..168 Technical considerations.

2 Smart contract architecture ..2019 Thanks2110 Bibliography221 Executive summaryRequest is a decentralized1network that allows anyone to Request a payment (a Request Invoice)for which therecipient can pay in a secure way. All of the information is stored in a decentralized authentic ledger. Thisresults in cheaper, easier, and more secure payments, and it allows for a wide range of automation become the backbone of world trade, Request integrates a general ledger (in the accounting sense ofthe term), which is:-Universalbecause it is designed to support 100% of global transactions, regardless of currency, legislationor language. Request is built to unlike an existing standard accounting book, Request is at the origin of the exchanges andintegrates a computerized trade code, as well as the management of a multitude of payment , their absence makes the whole system inefficient and absolutely unready for the digital and IoT(Internet Of Things) revolution that is taking can be seen as a layer on top of Ethereum2, which allows requests for payments that satisfy alegal is also possible to see currencies as tools to complete Request transactions.

3 In this sense, Request is more global than any The platformAnyone can write on theRequest Ledgerand create a Request for Payment. The Request can be detected bythe recipient monitoring the Network (via a wallet or via a financial application). If the Request is approvedby the user, it can be paid with a single click. Then the Request is completed and the Network is a Request is created, the trade laws that are applicable to its specific case are taken into account,and taxes are applied. When necessary, advanced payment terms may be , 2014, Gavin Wood. Ethereum: a secure decentralised generalised transaction ledger2 is requesting a payment from AliceLets look at 2 examples:Bob asks Alice for a payment, then he creates an (invoice) Request and relays it to the blockchain; Alice swallet detects theRequestand processes the the case where Bob was on Amazon and Alice was making a purchase, Amazon creates a Request on theblockchain, Alices phone analyzes the blockchain and detects the Request , sends a notification, and she agreesto offers: Security, since it is not necessary to share banking information Simplicity, since it requires only to click a button Savings, since purchases dont require a third party (eg.)

4 Paypal)3A representation of what the General Ledger looks likeConsider a second scenario, in which an autonomous car connects to a smart garage contract to buy anew wheel. They negotiate by algorithm, and agree upon a payment with deposit and escrow (money blockeduntil delivery). To interact financially, the machines and IoT require a payment examples are not feasible today, as there is no standard format and no interconnection between theservices; it is necessary either to share banking information, or to use a third party that is common to bothentities (Paypal, Venmo, Lydia , Stripe ..). Besides being limited and unsafe, it results in scattered invoicesthat could contain blockchain is the perfect support to create an open source, durable, smart and immutable new foundations simplify electronic , this is incredibly important because everything comes down to payment.

5 More than $5 trillion isexchanged every day3on the SWIFT Network alone, however, the flows are poorly solution has even greater advantages. A ledger containing all standardized accounting entries canautomate real-time accounting, improve auditing, automate factoring, simplify expense reporting, make es-crow simple and reliable, and detect and automatically pay , it opens up opportunities for more comprehensive trade able to manage data privacy makes it possible to push trade towards more transparency (publicexpenditure, associations), more fairness (transparency makes it possible to follow the distribution of gainsand the origin of products; it also enhances fair-trade) and more justice (trade rules will be more easilyaligned and enforced).It is difficult to imagine that the financial world can make any advancements without this The ecosystemMany developments will be possible on top of Request once the Core protocol is finished by the mind map4gives a full picture of the Request Network and the upcoming believe the Request ecosystem is the key to success, and we very much would like to nurture it.

6 Inorder to drive this decentralization forward and help Request to scale, here is an introduction to theRequestHub5. What we call Request Hub is the community outside the Request foundation that is willing to workon top of Request , create teams and projects around Request , and help with its The Core layerThe bottom layer is the Core, which manages the consensus over the ledger and the states transitions. Itconsists of the most fundamental smart contracts, allowing the creation of different entities and requests forpayments. It also detects when payments have been completed. It is based onimmutability(ie. no onecan change the information), theopenness of its system(everyone can access information that concernsthem) and anintelligencethat allows it to know when an invoice is paid according to the rules in the layer takes place on the Ethereum blockchain, which brings endogenous benefits for Ethereum andERC20-labeled invoices, such as automatic detection.

7 Other currencies are also covered via automatic pay-ment detection through the use of layer is free to encourage the greatest number to use it and to discourage the development of othersystems. The only costs transmitted are the use of Ethereum gas and the storage of The Extensions layerThe second layer is the Extensions layer. Most payment requests created today are not as basic as the oneproposed by the Core layer. If the Request comes from an enterprise, then it includes rules for calculatingtaxes, payment terms, escrows or advances. All of these conditions take the form of available extensionsthat can be added to requests. This layer is the gateway to incredible features that do not yet exist, suchas continuous bills . For example, someone could choose this module to break down their rent into30x24 payments to the landlord, leaving this person with a fluid bank account without large end-of-monthexpenses.

8 Taxes would be rerouted in real time to government agencies. With each payment, 20% of VATwould go to taxes and 80% to the recipient company. The same example would allow everyone to give 1% of allpayments to NGOs (Non Governmental Organizations), or to deposit them into ones own retirement layer is chargeable, in that each extension will take a fee that will be partially burned and partiallytransferred to the extension developers, with the extensions accrued on the same invoice. Costs decrease overtime to remain competitive and discourage alternative systems. The costs of these extensions is estimated tobe between and initially, though as the system grows, the costs will be reduced. More than 5,000billion dollars in payments are made each day, and in the end it will be enough to finance the Network by lessthan Nonetheless, the costs will continue to support the security of applications and their layer is completely open, whereupon anyone can create their own extensions, with the fees also beingdistributed in a way that will interest and encourage the developer and the The Applications layerThe topmost layer is the Applications layer, which takes place outside the blockchain.

9 Systems from differentcompanies can connect to Request to create requests or access information. Accounting, audit, tax, debt re-8covery and collection, factoring or payment systems can all be connected. When a payment system connectsto Request (Mycellium, Coinbase, Bank of America, Bankin ..), it will be able to access the invoices of theuser and propose to pay them Request team will develop applications, including an interface and an API for creating and ApplicationA reputation system is included in this layer to guard against phishing or bad payers. For instance, a userwill be able to detect whether a company is attempting phishing, in the case that other users have previouslyrejected its payments. Conversely, a company that does not pay its invoices on time, after having acceptedthem, will also be penalized by means of its reputation.

10 The reputation system may also have other uses; forexample, members of the Network with the best reputation will be able to receive cost reductions or accessto custom reputation could be directly entered in the blockchain, but to keep the system light, we have chosento keep them in the application layer thus far, since this information can be re-obtained by browsing Use casesThe use cases of this technology are extremely wide. This system automates real-time global accounting,replaces an entire branch of the audit, eliminates manual tax collection, simplifies international payments,allows machines to communicate on the same financial field,replaces payment systems such as Paypal,and makes the most advanced payment terms available to B2B invoicingBillions of invoices are shared each year between companies, with most of them still being sent in paper andemail format, which have to be copied.